INTRODUCTION TO BUDGETING EXAM : FORMULATION EXAM UPDATED STUDY GUIDE

FORMULATION EXAM: INTRODUCTION TO BUDGETING EXAM
1)In late December, the Components revise their final budgets and begin preparing
supporting documentation to incorporate the effects of all Resource Management
Decisions (RMDs) for inclusion in the President's Budget.
True


False


1) Advanced Procurement funding information shown on the P-5 budget exhibit should
be consistent with that shown on the budget exhibit.
P-10 (Advanced Procurement Requirements Analysis)


P-3a (Individual Modification)


P-1 (Procurement


Program) P-21 (Production


Schedule)


2) Which one of the following best describes the purpose of the P-3a budget exhibit?
Provide budget justification for a particular Procurement line item


Provide detailed information regarding monthly production of ACAT I program items


Summarize the funding requirements for a particular Procurement appropriation account


Provide budget justification for a particular Procurement-funded weapon system modification

program
3) The President's Budget that is submitted to Congress on the first Monday in
February is for fiscal year that will begin .
The current fiscal year


Two years out


In eight months (i.e., 1 October)


Four years out


4) Which one of the following best describes the conditions under which a P-1
budget exhibit is required to be submitted?

, When the program element funding is $1 million or more in any budget year covered by the budget

request
When any funding is requested under a particular Procurement appropriation


When the line item funding is $5 million or more in any of the budget years covered by the budget

request
When it covers a weapon system modification program whose costs exceed $5 million in any year

covered by the budget request
5) Which one of the following best describes the conditions under which an R-4
budget exhibit is required to be submitted?
When a major program milestone is scheduled to occur during any budget year covered by the budget

request
When any funding is requested for a project that is part of a program element in RDT&E budget

activities 1, 2, or 3
When a project is part of a program element in RDT&E budget activities 4, 5, or 7 and requires $5

million or more of funding in any budget year covered by the budget request
When a project is part of a program element in RDT&E budget activities 4, 5, or 7 and requires $1

million or more of funding in any budget year covered by the budget request
6) What activities would a program office using the Resource Allocation Process shown
be involved in during the July 2017 timeframe when allocating its RDT&E funds?

(MAGE DESCRIPTION: This chart is associated with the text on the main page. It illustrates
the overlap in the management of program resources.

As shown here, in July 2017 (FY17), a program office using only Procurement funds
might be:
- Managing the execution of its FY15, FY16 and FY17 funds;
- Tracking the Congressional enactment of its FY18 budget request;
- Preparing its portion of the Integrated Program and Budget Review documentation for
its FY19-23 funding requirements.)



Managing the execution of its RDT&E funds for FY 16 (first year of availability).


Preparing its portion of the Program and Budget Review documentation for its FY20-24 POM

submission.